ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

A+| A| A-

Multi-Pronged Expansion

Multi-Pronged Expansion Hansavivek AUTOMOBILE PRODUCTS OF INDIA expects to produce, in the first phase of the expansion programme, 36,000 units of scooters during the current financial year. It has an industrial licence to double capacity to 48,000 units. A letter of intent' has also been secured for manufacture of 50,000 numbers of four- wheeler light-utility vehicles at Nagpur, for which MIDC and SICOM have promised liberal assistance. The management has yet to decide whether to take up this project under a separate division of the company or to form a new company for the purpose. . API has further applied to government and MRTP Commission for a separate licence for manufacture of another 24,000 units of three-wheelers per annum. This project too is intended to be set up at Nagpur, so that the Bhandup plant can concentrate on production of two-wheel- ers and the company can, at the same time, take advantage of the liberal assistance offered by the state government and its agencies. Meanwhile, API has approached the Central government for substantial price increases for scooters and three-wheelers to compensate the ''unprecedented increase in the cost of men and material". The clutch and brake division has been shifted to Au- rangabad, where production is getting stabilised. Government approval to shift manufacturing operations for flywheel magnetos to Aurangabad has been received and that for friction materials plant is expected. Machinery is expected to be shifted by the middle of next year. A scheme is being finalised for sale of the Lucknow division to Auto Tractors, to whom have been transferred the industrial licence for annual manufacture of 12,000 numbers of Leyland tractors

Dear Reader,

To continue reading, become a subscriber.

Explore our attractive subscription offers.

Click here

Back to Top